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How to Find the Best Light Company in Houston

Updated: 08/09/2023

When choosing the right electricity provider in Houston, things can get confusing quite quickly. For starters, electricity providers in Texas go by several different names, including retail electric providers (REPs), power companies, power providers, and more. Another common moniker that REPs are known as is “light company.”

Unfortunately, understanding the different names that REPs go by is just the start of knowing how to choose the right electricity plan for your needs. If you’re looking for the best light company in Houston with the best plan but don’t know where to start, you’ve come to the right place.

Why Are There So Many Light Companies in Houston?

A big part of why choosing the right electricity plan is so difficult in Houston is how many REPs there are. There are more than 120 light companies in Houston, which continues to grow each year.

The reason there is more than one light company in Houston is because of deregulation, which turned the Houston electricity market into one of open competition. Rather than there being a single REP to handle all of the city’s electricity needs, deregulation means that anyone with the means and desire can start their own REP. Deregulation also means that residents of Houston have the power to choose their electricity plan and provider.

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Texas
Best Electricity Rates
ProviderPlan NameLengthRate Per kWh
At 1000kWh avg. usage
Sign Up
Frontier Utilities
PUCT #10169
Frontier Saver Plus 12
12 Mo.10.7¢Select
Frontier Utilities
PUCT #10169
Frontier Saver Plus 24
24 Mo.10.7¢Select
Discount Power
PUCT# 10177
Bill Credit Bundle 24
24 Mo.10.9¢Select
Rhythm
PUCT# 10279
Simply Select 16
16 Mo.13.3¢Select
Constellation
PUCT #10014
12Mo Usage Bill Credit + A/C Protection
12 Mo.13.9¢Select
PlanRate Per kWh
At 1000kWh avg. usage
Frontier Utilities
Frontier Saver Plus 12

12 Months
10.7¢
Select
Frontier Utilities
Frontier Saver Plus 24

24 Months
10.7¢
Select
Discount Power
Bill Credit Bundle 24

24 Months
10.9¢
Select
Rhythm
Simply Select 16

16 Months
13.3¢
Select
Constellation
12Mo Usage Bill Credit + A/C Protection

12 Months
13.9¢
Select
  • 100% Renewable Sources
  • A/C Protection Included
See All Plans

Who is the Best Light Company in Houston?

Because of the sheer number of Houston light companies, it’s tough to say who’s the best of the best. Adding to that difficulty is the fact that everyone has different needs and desires regarding their electricity plan. Thanks to how the market works, the best company for you might not be the best option for your neighbor or family member. It all depends on the plan’s specific terms and conditions and if it fits your needs.

So, rather than choosing a plan from the light company in Houston with the best online ratings, it’s important to choose the plan that’s right for you. ElectricityRates.com can help with this. Our free online comparison tool compares the best electricity plans in your ZIP Code, regardless of the company. Enter your ZIP Code to get started!

Who Has the Cheapest Electric Rates in Houston?

In the same way that it’s challenging to know who the best light company in Houston is, it’s also hard to say who the cheapest is. Thanks to the unregulated market, retail electric providers can change their rates at any time. Therefore, the most inexpensive company today might get dethroned tomorrow by someone who offers even lower rates.

Light Company in Houston With No Deposit

On top of Houston light companies being allowed to offer varying rates, there are also different types of light companies entirely. For instance, it’s traditional for Houston light companies to require a deposit or down payment when you initially sign up with them. They require this because most REPs offer postpay plans, where you use electricity and then pay your bill at the end of the month.

However, there are now light companies in Houston that don’t require a deposit when you enroll with them. These companies, known as prepaid or no-deposit companies, are rapidly gaining popularity. They don’t need a deposit because they offer prepaid plans where you purchase electricity before using it. Because they aren’t taking on any liability, since you already paid your bill in full, they don’t need a deposit.

Different Types of Electricity Plans From Houston Light Companies

If a no-deposit or prepaid plan doesn’t sound right for you, you can also choose a traditional electricity plan from a light company in Houston. Here are some of your options when it comes to the types of electricity plans in Houston!

Fixed-Rate Electricity Plan

A fixed-rate electricity plan is the most popular and readily available type of plan in Houston. With this type of plan, you sign up for a long-term contract, usually 12 to 36 months in length, and your rate will stay the same from the time you sign up until the end of your contract.

Variable-Rate Electricity Plan

You can also choose a variable-rate electricity plan. Variable-rate plans don’t require a contract, are offered on a month-to-month basis, and have rates that can change at a moment’s notice.

Unlimited Electricity Plan

One of the newer options is an unlimited electricity plan. With this type of plan, you pay the same flat rate for your electricity regardless of how much you use. However, very few Houston electricity providers offer this type of plan.

Free Nights and Weekends Plan

Finally, you may be able to find a free nights and weekends electricity plan from a light company in Houston. As the name implies, a free nights and weekends plan offers free electricity on certain nights and weekends. These plans are usually part of a larger, fixed-rate electricity plan.

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How to Choose the Best Light Company in Houston

When choosing the perfect light company in Houston for your needs, ElectricityRates.com is here to help. Unlike other online comparison tools, we don’t pick the company for you. We believe you know your needs better than anyone, so we want to provide you with all the details you need to make an informed decision. Here’s how the process works.

  • Our intuitive search engine shops for the best rates based on your exact home address, location, home size, and actual usage.
  • A list of all the electricity companies in your area will pop up, giving you a personalized list of plans tailored to your home.
  • You can go through the list of plans and check things such as the listed rate, the tiered rates based on usage, your estimated bill, the REPs reputation, hidden fees, perks and benefits, and anything else pertaining to the plan.
  • Once you find the plan you like, you can select it and enroll immediately.
  • There won’t be any service interruptions while we switch you from your old plan to the new one.

With just a few clicks, you can compare options from leading providers and quickly sign up for your electricity contract to start saving money on your electricity bill. Enter your ZIP Code into the free rate comparison tool at the top of the page to get started!

ElectricityRates.com Houston, TX Location

  • Address: 4201 Main St Suite 200, Houston, TX 77002
  • Phone: (832) 476-8721